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©2015, 3E Company, All Rights Reserved Domestic EH&S Regulatory Updates James C. Lee Senior Regulatory Analyst May 20, 2015

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Page 1: › docs › default-source › ... · Domestic EH&S Regulatory UpdatesSen. oxer’s Draft Sep. 19, 2014 Compromise Bipartisan Senate Bill (Frank R. ... • Final PP Work Plan for

©2015, 3E Company, All Rights Reserved

Domestic EH&S Regulatory Updates

James C. Lee Senior Regulatory Analyst

May 20, 2015

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©2015, 3E Company, All Rights Reserved

Agenda

I. TSCA Reform Updates

II. Proposed Changes to Cal Prop 65

III. Notable State and Local Laws

IV. HCS 2012 Update

V. Canadian Adoption of GHS

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©2015, 3E Company, All Rights Reserved 4

TSCA Reform

What When

First Bipartisan Senate Bill (Chemical Safety Improvement Act)

May 22, 2013

House Bill (Chemicals in Commerce Act) Feb. 27, 2014

Sen. Boxer’s Draft Sep. 19, 2014

Compromise Bipartisan Senate Bill (Frank R. Lautenberg Chemical Safety for the 21st Century Act)

Mar. 10, 2015

Bipartisan House Bill (passed in the subcommittee) May 14, 2015

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©2015, 3E Company, All Rights Reserved

Points of Contention

• Federal preemption

• Confidential business information (CBI)

• Prioritization of assessment

• Disclosure/reporting requirements

• EPA’s authority to restrict/ban

• Who pays?

5

TSCA Reform

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©2015, 3E Company, All Rights Reserved

What’s Next in 2015?

- Senate bill on the floor?

- House bill from subcommittee to

full committee discussion

- Congress takes a break in August

- 2016 is an election year

6

TSCA Reform

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©2015, 3E Company, All Rights Reserved

Hazard Communication

Standard 2012

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©2015, 3E Company, All Rights Reserved

HazCom 2012 Deadlines

Manufacturer / Importer

Distributor Employer

June 1, 2015

Dec. 31, 2013

June 1, 2016

Dec. 1, 2015

2013 2015 2016

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©2015, 3E Company, All Rights Reserved

June 1, 2015 effective date - Chemical manufacturers, importers, distributors and employers must be in compliance with all modified provisions of the HCS. - Includes product formulators

- Will you be ready on June 2, 2015?

9

HazCom 2012 Deadlines

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©2015, 3E Company, All Rights Reserved

Notable Guidance

10

Memo on HCS June 1, 2015 enforcement (Feb. 9, 2015)

• Hypo:

- I am a product formulator or producer of mixtures. I am waiting on my individual ingredient suppliers in order to author SDSs and labels. What do I do if I cannot author SDSs and labels by June 1st because of their delay?

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• OSHA answer:

- June 1st date has not changed

- “Reasonable diligence” and “good faith efforts”

- “Enforcement discretion”

- Use HCS 1994 until…

Notable Guidance

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©2015, 3E Company, All Rights Reserved

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• OSHA answer (cont’d):

SDS Label Distributor

Within 6 months after receiving all hazard information for the ingredients, HazCom 2012 SDS must be prepared.

Within 6 months after creating the HazCom 2012 SDS, compliant labels must be created.

Distributors have until Dec. 1, 2017 in the limited situation.

Notable Guidance

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©2015, 3E Company, All Rights Reserved

13

Top 5 Most Frequently Cited OSHA Standards

1. Fall Protection (1926.501)

2. Hazard Communication (1910.1200)

3. Scaffolding (1926.451)

4. Respiratory protection (1910.134)

5. Electrical, wiring methods (1910.305)

Inspections

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©2015, 3E Company, All Rights Reserved 14

What can be expected?

• Preventative/proactive philosophy instead of reactive

• May prioritize inspections based on complaints, past violations, and size

• Review the past 5 years of employers’ OSHA enforcement records

• Treat workplaces in a corporate family as one workplace

• New Field Operations Manual for CSHOs

Inspections

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©2015, 3E Company, All Rights Reserved 15

How to prepare for HazCom inspection

Audit written hazard communication program

Review OSHA’s Field Operations Manual

Train and educate all employees

Check SDSs and labels (shipped container and workplace labels) against the inventory

Check for exemptions

Make sure all the necessary docs/records are available

Think beyond a single facility

Conduct a mock inspection

Inspections

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©2015, 3E Company, All Rights Reserved

Prop 65: Basics

The Safe Drinking Water and Toxic

Enforcement Act of 1986 (Proposition 65)

• Notify Californians about exposure to chemicals known

to cause cancer or reproductive toxicity

– Provide a “clear and reasonable” warning before

“knowingly and intentionally” exposing a person to a

listed chemical

• Prohibits discharging into drinking water

[then on Jan. 12, 2015] 17

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©2015, 3E Company, All Rights Reserved

Key Changes Proposed (1/2)

•Use of the word “WARNING” in bold

• Includes toxic hazard pictograms on certain products –

yellow triangle and exclamation symbol (not GHS

symbol)

• Disclosure of specific chemicals by name on the label

(12 chemicals proposed – “the dirty dozen”)

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©2015, 3E Company, All Rights Reserved

The 12 chemicals

• Acrylamide

• Arsenic

• Benzene

• Cadmium

• Carbon Monoxide

• Chlorinate Tris

• Formaldehyde

• Hexavalent Chromium

• Lead

• Mercury

• Methylene Chloride

• Phthalates

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©2015, 3E Company, All Rights Reserved

Key Changes Proposed (2/2)

• Link to agency website – provides

more info www.P65Warnings.ca.gov/product

• Format, content and size requirements

• Specified wording

• Specific requirements for certain products

• Yes/No vs. Content of Label

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©2015, 3E Company, All Rights Reserved

Where are we now?

• Hearing on March 25, 2015

- 55/60 comments opposed the amendment

• If ultimately passed:

– All products subject to the law will need to be re-labeled

– All warnings will need to be redesigned and reworded

– Additional information to be provided to OEHHA

• Two year transition period after adoption

• AB 543 (Feb. 23) stalled in committee

• Outcome uncertain

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©2015, 3E Company, All Rights Reserved

Calif. Safer Consumer Products

• Safer Consumer Products Regulations (effective Oct. 1, 2013)

• Initial Priority Products (PP) in Mar. 2014 i) Spray polyurethane foam (SPF) with unreacted diisocyanates

ii) Children’s foam padded sleeping products with TDCPP

iii) Paint and varnish strippers, and surface cleaners with methylene chloride

• Final PP Work Plan for the next 3 years published (Apr. 17, 2015)

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• Vermont - 78 chemicals of high concern to children (adopted

June 2014; effective July 2016)

• Maine - Priority chemicals in children’s products (June 2014)

• Minnesota - Formaldehyde ban in children’s products (Effective

Aug. 2014 for manufacturers) - Banned triclosan (May 2014)

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Other states

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©2015, 3E Company, All Rights Reserved

• California - Bans plastic bags (Effective Jul. 2015)

• Illinois - Bans micro-beads (Effective Dec. 2017)

• New York - Adds TDCPP to the Tris ban (Effective Dec. 2015)

• Albany County, New York - Bans 7 chemicals from children’s products (Jan. 7,

2015) 25

Other states

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©2015, 3E Company, All Rights Reserved

• Hazardous Products Regulations; WHMIS 2015 • Effective Feb. 11, 2015 • Major deadline: June 1, 2017 • Based on the 5th Rev. GHS and U.S. HCS • Bilingual GHS label/SDS • 3 year SDS revision requirement repealed*

*For new SDSs – Not WHMIS MSDSs

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Canadian GHS Adoption

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Global EHS Regulatory Trends UpdateNAEM 2015 EHS Compliance Conference

Presented By:

Eric Wu, PEAntea Group

[email protected]

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IntroductionGLOBAL EHS REGULATORY UPDATES

Global EHS Regulations

are constantly evolving.

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Global Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES

Latin America

China

India

Europe

Asia-PacificAfrica

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Regional Updates

Country Updates

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Europe Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES

Aerosol Containersaerosol products placed on the market must be labelled or relabeled in accordance with the regulatory amendments (MSBFS 2014:1)

Updated Hazard StatementsClassification, labelling and Packaging (CLP) lists of hazard and precautionary statements have been added (H229, H230 and H231) and one has been removed (EUH006).

Changes in the Waste RegulationDocument of annual hazardous waste amount and disposal. Transport permit of hazardous waste (10 tons or 50 CM annually)

Germany Sweden

Federal Ordinance on Industrial Health & Safety New version from 1st June 2015

Risk Assessment, Machine & Equipment, and Training.

Energy Services Act Amendment 2015Energy audit by December 5, 2015 for facilities with 250 EE and € 50 Million annual turnover. Alternative ISO 50001 energy management system

EU –SEVESO III Aligned with CLP Regulation - Inspections annually for upper tier, every 3 years for lower tier, added heavy fuel oil

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Europe Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES

Directive on Hazardous Materials – Revised

The “Chemical Act” has been revised according to the EC Directives with a list of dangerous substances (e.g. white spirit and solvent naphtha)

Industrial Emission Directive Implemented

Industrial Emission Directive (IED) is now implemented with a new Danish guidance (August 2014) trigger for Environmental Permits Best Avalable Techniques Reference (BREF) or Best Available Techniques (BAT) prior to commencement of activities intended or changes in production.

Denmark

New Guidelines on Dangerous Substances (PGS)

• PGS9; ‘Cryogenic gasses’ beside oxygen, add nitrogen, argon, carbon dioxide, helium and nitrous oxide with storage limit, safety distance, and spatial layout.

• PGS12; ‘Ammonia storage and handling’ storage of ammonia under pressure vessel required gas detection with alarm, placement of fire-fighting monitors instead of water hoses, and large scale alternative inspection based on risk-based inspection.

Netherlands

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Latin America Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES

Implication from most severe draught

• The southern portion of Brazil is going through the most severe draught in 80 years.

• New legislation has been drafted for rationing water and enforcement are taking place.

• Municipal water companies prioritizing domestic users over industrial users.

• Employers bear responsibility for the H&S implications, including food service (cafeterias), drinking water quality, on-site medical facility and practitioner awareness.

Recent reforms in Mexican government

During recent years the Mexican government has developed and approved significant “reforms” in Mexican legislation.

• Improve the competitiveness of the Mexican Industry.

32 States with independent agencies of their own for regulating air and water.

• Key Consideration for Permitting and Waste Management - Who’s in Charge?

MexicoBrazil

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Africa Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES

Waste Management

• National Environmental Management: Waste Amendment Bill amendments and new insertions of schedule defining wastes categories.

• Hazardous waste includes hazardous substances, materials or objects at business waste, residue deposits and residue stockpiles.

• General Waste, includes domestic waste, building and demolition waste, inert waste, any non-hazardous waste

Atmospheric Emissions Inventory System starts in 2015

Report via the Department of Environmental Affairs’ (DEA) National Atmospheric Emissions Inventory System (NAEIS), including

• Emissions under licence, Greenhouse Gas emissions, Emissions with set limit, Fugitive emissions

• Certain production information required to be disclosed

South Africa

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Asia/Pacific Regulatory UpdatesGLOBAL EHS REGULATORY UPDATES

Energy Efficiency Program 2005 -2015

• Major Energy Users - consume energy at the equivalent of 1,000 tons of oil annually

• Develop annual and 5-year energy efficiency plans

• Diversify energy sources - Minimize dependence on oil

GHS System in effect from March 2014

• Globally Harmonized System Classification and Labelling of Chemicals

• All labels are required to be written in Vietnamese

Guideline for Developing Env. Documents

Environmental Impact Analysis (AMDAL), Environmental Management Efforts and Environment Monitoring Efforts (UKL-UPL) and Environmental Management Statement (SPPL)

Program for Pollution Control, Evaluation and Rating (PROPER)

Environmental performance of companies is mapped into 5-colour grading scale, Gold (Excellent), Green (Very Good), Blue (Good), Red (Non-Compliance, Black (Cause Environmental Damage)

Vietnam Indonesia

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Regional Updates

Country Updates:

China

India

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“Under the Dome”

A documentary video, >155 million views just one day after its release.

Combustible Dust Explosion Accident

Kunshan, Jiangsu, August 2, 2014 – 146 deaths, 114 injured and direct economic loss USD 60 million

Litigation Case with Sky-high cost of Penalty

Taizhou, Jiangsu, December 2014

National Soil Pollution Situation Investigation Report

Published on April 17, 2014, issued by MEP MLR

Recent News in ChinaGLOBAL EHS REGULATORY UPDATES: CHINA

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Regulatory TrendsGLOBAL EHS REGULATORY UPDATES: CHINA

4. Chemical Management

3. Occupational Disease Prevention Law Amendment

5. EHS Supervision

2. Production Safety Law Amendment

1. Environmental Protection Law Amendment

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Potential ImpactGLOBAL EHS REGULATORY UPDATES: CHINA

Environmental Health and Safety

• Costs increase for non-compliances

• General push to promote cleaner energy sources -greater incentives for using cleaner technologies -opportunities for foreign companies selling environmental technologies into the China market

• Violation Costs Increase• Greater Safety Production

Responsibility for Enterprises• Higher Requirements for

Safety Production Management Work of Enterprises

• Close Relationship Between Corporate Image and Workplace Safety

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Best Management PracticesGLOBAL EHS REGULATORY UPDATES: CHINA

Good planning toward

sustainable and green production

Selection of advanced

technologies with low emission

Consideration of cleaner

production, conservation,

including water reuse

Choose/Move to right industrial

parks

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Regional Updates

Country Updates:

China

India

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Update on EHS RegulationsGLOBAL EHS REGULATORY UPDATES: INDIA

Major Amendments in EHS Regulations

Tamilnadu Factories Rules Punjab Factories Rules Indian Electricity Rules

• Rule 61 (10) – First aid firefighting arrangements was amended

• Rule 61 (11) – Water supply for fire-fighting adopted new method

• Rule 61 (15) – Plan of fire fighting installations to be submitted to Inspector of Factories, State Fire Director and local authority

• Rule 3A - Approval of Plans – amended with additional information

• Rule 4 - Certificate of Stability – amended signed by a competent person and fresh certificate for every five-years period

• Newly introduced – Central Electricity Authority (Measures relating to Safety and Electric Supply) Regulations, 2010 thereby replacing the Indian Electricity Rules, 1956

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H I G H L I G H T S

• Debriefing to the plant top management to highlight the key issues.

• Risk Radar for each plant to give a snapshot of its Safety Management System.

• Re-assessment of the plants after a period of 4 to 6 months to check the compliance status

O V E R V I E W

One of the leading automobile manufacturers in India embarked on a journey of assessing and improving the Safety Management System of its Tier 1 Auto Component Suppliers by carrying out Safety Audits.

Case Study: EHS Status of ManufacturersGLOBAL EHS REGULATORY UPDATES: INDIA

We find about 30% improvement in Risk Ranking score after the re-assessment!

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EHS: Challenges and SolutionsGLOBAL EHS REGULATORY UPDATES: INDIA

EHS Challenges in India

• Lack of Industry-wide guidelines on EHS -HSE is driven by automobile suppliers as requirement from Automobile Industry

• Lack of awareness of EHS requirements -Minimum focus given for EHS during the plant design stage

• Regulators are not taking strict actions against Statutory Non-Compliances -Industries are waking up only when there is a major incident

• Certification of the Safety Management System is not a mandatory requirement

• Industries generally do not have in-house EHS expertise available

Solutions for India Auto Industries

• Developing Industry-wide EHS Guidelines and Manual, KPIs for EHS benchmarking, annual awards for automobile component industries.

• Cluster level workshops (national/ local level) to promote EHS awareness through industrial organizations such as Automobile Component Manufacturing Association.

• Training / Certification programs for automobile component Industry workforce and supply chain.

• Initiative to help the Automobile component/suppliers industries get EHS related certification.

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B E T T E R B U S I N E S S , B E T T E R WO R L D℠

Eric Wu, PEAntea GroupO: [email protected]